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UK’s oil major BP (NYSE:BP) will double its production in the North Sea to 200,000 barrels of oil per day, chief executive Bob Dudley said in an interview with Energy Voice in Aberdeen on Wednesday.

“You will see portfolio changes for us in the North Sea, but you may see us invest in other projects as people approach us about joining them. So I think there’s a mix, but we should double our production by 2020 from where it was in 2015,” Dudley said.

He went on to add: “We should be over 200,000 barrels a day in 2020 and by then I’m hopeful our exploration program will lead to more things to do.”

Even though he admitted that the North Sea largely contains mature fields and things would never go back the way they were when oil was sitting comfortably at US$100, Dudley expects that BP could pump oil in the North Sea until 2050 at least.

“The myth that the North Sea is finished is absolutely that. It’s a wrong myth,” Dudley told Energy Voice.

Speaking to Aberdeen staff back in July, Dudley said that BP’s operating costs in the North Sea were high, but are now down to around US$17 per barrel, according to Energy Voice. With that benchmark behind them, the oil major is now targeting operating costs at US$12 per barrel.

Most recently, BP said at the end of last month that it had bought interests in two North Sea exploration prospects, Jock Scott and Craster. Earlier this week, BP announced that drilling had started on a potential carboniferous gas play in the southern North Sea.

In both statements, the oil major said: “BP North Sea expects to grow production for UK assets to around 200,000 barrels per day by 2020, with an exciting set of future investment and renewal options capable of sustaining a material business into the 2030s.”

Earlier this year, BP announced it had doubled its interest in the largest discovered gas field in the North Sea in the last ten years, the Culzean development.

]]>Sat, 10 Dec 2016 09:52:00 +0000OilPrice.comhttp://www.cityam.com/255378/bps-ceo-has-vowed-double-north-sea-oil-production-next-fourhttp://www.cityam.com/255376/close-ftse-100-boosted-late-sky-surge-21st-century-fox
The FTSE ended the week looking very healthy indeed – its best week since July. It was up 22.66 points to 6,954.21 bolstered by a Sky surge.

The week-long boost (up more than three per cent) had been propelled by financial stocks, which rose across Europe in the aftermath of the Italian constitutional referendum didn’t cause as much damage as had been expected.

The rail firm is under unprecedented pressure from two trade unions: joining forces with the Rail, Maritime and Transport union (RMT), members of drivers union Aslef will walk out for nine days starting next Tuesday.

Whereas previously Southern has managed to limp through RMT industrial action, the two-pronged attack will bring services to a standstill.

But after an injunction to halt the Aslef action was yesterday thrown out by the High Court, Southern has lodged an urgent application at the Court of Appeal against the ruling.

Embrace festive fever and head to an immersive elfin experience near Ascot for an exciting encounter with Mother and Father Christmas. This is something for the whole family to enjoy, following a trail through an enchanted forest to sample a day in the life of elf apprentices, preparing food and toys for the celebrations to come.

Patience and stamina are required, as the show lasts for three hours as you proceed through a series of giant log cabins and paths covered with fake snow to eventually see the great man and deliver your Christmas wish. It would be hard going for children under three, not to mention their parents, and exhausting for nans.

The entertainment:

Big folk and small folk are welcomed by the head elf whose booming voice might scare some little people. Actors taking on the role of elf impersonators then initiate the audience in the secret rhyme, which allows them to pass into Lapland. Once there children quickly gain access to the toy factory staffed by more elves dressed in brightly coloured gear. The cheery song and story formula is a bit like pantomime without the dame. How can anyone resist the happy elf song to the familiar tune Jingle Bells?

This is an interactive afternoon too as kids get to assemble toy cuddly reindeers and toy bears, though not to take home, sadly. The task completed, they get a stamp on their elf passports and are sent on their way. In the next hut Mother Christmas and her helpers allow the young would-be elves to decorate a delicious ginger bread man, which they can actually keep, followed by a heart warming story from the big girl herself. Another stamp on the passport and it’s time to move on to the highlight of the day.

"Why are we so unproductive on Wednesdays?"

The elf village:

Arriving in the elf village along another frosty conifer fringed path, guests are invited to see and do as much as possible – at a price, of course. Here is the skating rink, the elf emporium, café restaurant and sweet shop full of all sorts of tempting goodies. Don’t miss the opportunity to post a letter to Father Christmas at the Elf Post Office, meet the husky dogs and Ambolt, the Elf Blacksmith.

You can admire Father Christmas’s sleigh and reindeer, all prepped and ready to whisk toys to expectant children for Christmas Day. Finally participants graduate from their elf training with the award of a golden bell and the last stamp on their elf passport, before their timed appointment with the one, the only, Father Christmas himself.

The verdict:

This is a great day out, but does not come cheap. The elves work very hard to charm the little ones and keep the adults involved, but progress is sometimes slow along the elfin route. but those between the ages of about four and seven – and the young at heart – will lap(land) it all up.

Need to know:

Lapland UK is open until 24 December. Tickets start from around £75 per person and can be booked online at bookings.laplanduk.co.uk

]]>Fri, 09 Dec 2016 16:50:00 +0000Alison Summershttp://www.cityam.com/255375/long-weekend-review-if-all-they-want-christmas-year-triphttp://www.cityam.com/255373/jump-sea-kayak-and-take-iceberg-infested-fjords-greenland
The iceberg looming above me is the size of an apartment block, yet despite its enormity the frozen seascape is eerily silent. I am sitting in my kayak with eight other paddlers in one of Greenland’s enormous Arctic fjords. All that breaks the calm is the snap, crackle and pop of the ice. Then, as if on cue, a curious seal pokes his head above the water to check us out.

“Don’t get too close to that big iceberg,” warns Scott, our kayak instructor. “The large ones have a tendency to tip over without any warning – and the bit above the water is only 10 per cent of its total size.”

Keen to avoid the Titanic experience, we back off. Moments later, there is an enormous groan as a giant iceberg starts to keel over. We paddle farther away as the monstrous hulk sends up showers of ice and a large wave surges behind us as the unstable berg tries to right itself again.

“That,” says Scott, “is why you never get too close to an iceberg.” He picks up one of the millions of tiny floating ‘bergy bits’ surrounding us and places it onto his kayak. “We’ll have that with our gin and tonics later. Not often you get to enjoy a 5,000-year-old chunk of ice in your drink.”

It’s all quite a change from the standard summer holiday. On an Arctic cruise to Greenland, I am spending what should be the warmest month exploring Inuit settlements and glimpsing glaciers around this country’s rugged and dramatic coastline.

Greenland is the largest island in the world. It’s sparsely populated, with barely any mobile phone coverage. But add in stunning mountain ranges, glaciers, ice-choked fjords, polar bears, hot springs, volcanoes and spectacular views of the aurora borealis and you have the perfect recipe for enjoying one of the most pristine and spectacular places on the planet. It’s no surprise that Greenland appeared in Lonely Planet’s “Best in Travel” list for 2016.

Second only to Antarctica for ice cover, it’s home to the northern hemisphere’s fastest moving glacier. The Ilulissat Icefjord is known as the iceberg capital of the world, with as much as 20bn tonnes of ice flowing through the fjord each year.

Like icy soufflés, icebergs can collapse without warning and ruin your afternoon

While we’ve opted to enjoy this UNESCO world heritage site by sea kayak, our colleagues on this polar cruise are ferried ashore in a flotilla of Zodiac dinghies for walking tours of varying lengths and skill levels. The terrain is isolated, hilly and magnificent. It can also be dangerous. At all times, passengers are escorted by a team of rifle-bearing expert guides who keep a close watch out for starving polar bears.

The 370,000sqm Greenland National Park is the largest park in the world and, as an international biosphere preserve, is also home to 40 per cent of the world’s musk ox, polar bears, walrus, arctic foxes, beluga whales and many species of seals and birds.

A team of scientists and wildlife experts give fascinating lectures throughout the cruise to help explain the sites we enjoyed on our twice-daily excursions ashore.

Greenland has a fascinating history stretching back beyond the first Viking explorers. At least six different Inuit cultures have called Greenland home, and the community of Brattalhio is where Erik the Red and his descendants lived until the late 15th century, when they disappeared.

My home is aboard the 2,183-tonne, ice-strengthened Ocean Nova. Waking on my first morning after crossing the Denmark Strait, I drew back my cabin curtains and glimpsed a northern fulmar (an Arctic sea bird) skimming the mirror-smooth waters.

Life on board is easy and relaxed with many passengers socialising in the ship’s lounge bar, occasionally dashing out on deck to snap a particularly eye-catching ice sculpture floating past the ship. A team of scientists and wildlife experts give fascinating lectures throughout the cruise to help explain the sites we enjoyed on our twice-daily excursions ashore.

Our adventure began with an overnight stay in Reykjavik before being flown to the northern Iceland port of Akureyri, where the Ocean Nova will take us via the beautiful fjord scenery of the Eyjafjörður as we head north towards Greenland.

The local chocolate bar mascots are friendly creatures

Once aboard, we enjoy formal waiter service and five-course meals. But despite the top-class surroundings, there is something strangely Hi-De-Hi about the morning wake-up call. At 6am each day, expedition leader Hadleigh Measham rouses us over the tannoy with his favourite pop music – anything from Rolling Stones to the Red Hot Chilli Peppers – before outlining our latest GPS position and the adventures we would hope to enjoy that day.

Explorer Hadleigh has completed over 50 expeditions to the Polar Regions including Antarctica, East and West Greenland, Baffin Island, Svalbard, the Falkland Islands (Islas Malvinas), the Scotia Sea Islands.

Sometimes he’d wake us even earlier, at 2am, encouraging bleary-eyed passengers to enjoy the full beauty of the aurora borealis as it danced and undulated across the sky. Nature’s very own firework display.

Breakfast would normally be at 8am before we kayakers would don our dry suits and lifejackets to explore the world’s largest fjord system of Scoresbysund.

The daily adventures include an expedition to Ela Oya (Ella Island) where binoculars are a must; as we climb to the summit of the islands there’s an outstanding view over of five fjords and grazing musk oxen. Ella Oya is a hiker’s dream.

At the mouth of the fjord complex, we visit Ittoqqortoormiit, East Greenland’s most northerly community that boasts a blend of traditional and modern lifestyles.

On our adventure we saw bearded seals, musk ox, arctic foxes, and although the polar bears eluded us, we kayaked, walked, explored in inflatable boats and cruised for more than 1,000 miles, mostly in sunshine.

There we enjoy watching sled dog puppies frolicking in the sun, and visitors are invited to support local Inuit artisans by purchasing unique handicrafts and gain an appreciation of the local way of life.

Inuit are allowed to hunt 70 polar bears a year and we’re also shown intricate carvings made from whalebones and walrus tusks. The general store sells postcards, hunting rifles and bullets next to packets of children’s sweets and groceries. Teenagers here can buy their first rifle at just 12 years old.

One evening treat involves being whisked by Zodiac dinghy among the icebergs at dusk before being warmed up by mugs of hot chocolate and Tia Maria served to us as we cruise among the ice floes. But my favourite pasttime is simply exploring the shoreline silently by kayak. As we paddle along Dream Bay, a pair of beautiful Arctic foxes with grey and white fur coats sniff around the shoreline for food.

On our adventure we saw bearded seals, musk ox, arctic foxes, and although the polar bears eluded us, we kayaked, walked, explored in inflatable boats and cruised for more than 1,000 miles, mostly in sunshine.

The final shock came on the last day before disembarkation, and this time it wasn't glaciers or orcas. It was our turn to be sea mammals and a chance for all those fit and brave enough to take the traditional end-of-cruise ‘polar plunge’.

I wasn't in the freezing water for more than 10 seconds and swam at speeds worthy of Michael Phelps. But it gave me a newfound respect for any wildlife that can call the Arctic home.

This 10-day expedition with Quark Expeditions is priced from £4,100 on Ocean Nova. Price includes meals and shipboard accommodation. Full inclusions and exclusions can be found online.

Day excursions such as walking, kayaking and hiking vary by departure, and are subject to availability and fill up quickly, so guests will need to book early.

]]>Fri, 09 Dec 2016 16:38:00 +0000Keith Perryhttp://www.cityam.com/255373/jump-sea-kayak-and-take-iceberg-infested-fjords-greenlandhttp://www.cityam.com/255370/21st-century-fox-talks-buy-sky-valuing-uk-firm-185bn
Sky’s share price leapt by more than 30 per cent on Friday afternoon after the company said it was in talks to be taken over by Rupert Murdoch's 21st Century Fox.

The directors of both companies have reached an agreement at £10.75 per share in cash – putting an overall value of Sky at £18.5bn. Fox already holds a 39 per cent stake in Sky.

But Sky said “certain material offer terms remain under discussion and there can be no certainty that an offer will be made by 21st Century Fox”.

Rupert Murdoch is the executive chairman of 21st Century Fox, having previously been chief executive and chairman of the company since its inception as News Corporation in 1979. His sons James and Lachlan are chief executive and executive chairman of the company.

News Corporation was split into two distinct companies – new News Corporation, comprising the newspaper and publishing side of the business, and 21st Century Fox, representing the entertainment side of the business – in 2013.

News Corporation withdrew a takeover bid for Sky in 2011, at the height of the phone-hacking scandal, with the deal coming under regulatory scrutiny.

Ian Whittaker, a media analyst at Liberum, said on Friday afternoon that he did not believe this deal would be subject to a regulatory block.

He said in a note: “The UK government is keen to promote investment in the UK post-the Brexit vote. We doubt therefore it would want to veto what could be viewed as a major sign of confidence in the UK market.”

He also suggested the split of 21st Century Fox and News Corporation would make the deal less likely to be blocked.

Sky said its directors had been advised by Morgan Stanley, PJT Partners and Barclays and have said they would be willing to advise the deal to shareholders.

The offer would represent a 40 per cent premium on Sky’s closing share price on 6 December and 36 per cent on 8 December.

Sky’s share price was up 30 per cent to £10.25 per share shortly after it announced the talks.

]]>Fri, 09 Dec 2016 16:21:00 +0000William Turvillhttp://www.cityam.com/255370/21st-century-fox-talks-buy-sky-valuing-uk-firm-185bnhttp://www.cityam.com/255369/median-0-well-thats-ons-says-one-sectors-workers-putting
Work in the tourism sector? Are you putting money away for retirement? If the answer is no, then you aren't alone.

The latest numbers from those clever boffins over at the Office for National Statistics (ONS) suggest the median pension savings reported in the tourism sector is a mighty... well, diddly-squat.

That's right, the ONS said the median reported – that's the middle point of a number set – was "£0".

“Pensions in the tourism industry have gone on holiday," said Alistair McQueen, Aviva's savings and retirement manager. He added: “New pension figures from the Office for National Statistics show a pensions crisis in the UK’s tourism industry."

The ONS stats say 2.3m people work in the tourism sector and with 31 per cent of workers putting money into a pension pot, the sector is the lowest of the 11 analysed.

Automatic enrolment is the vehicle for encouraging pension participation amongst workers in the UK.

It has been a huge success, bringing near 7m people into pensions, but lower incomes and part-time working may be leaving the tourism industry behind.

“The government will review automatic enrolment in 2017. It has been a revolutionary success since its introduction in 2012, but Aviva wants to ensure it continues to be a system that works for everyone, including those in tourism.”

]]>Fri, 09 Dec 2016 16:02:00 +0000Oliver Gillhttp://www.cityam.com/255369/median-0-well-thats-ons-says-one-sectors-workers-puttinghttp://www.cityam.com/255366/no-vinyl-isnt-bigger-than-digital-downloads-but-could
Earlier this week, a story did the rounds which prompted some debate in the UK music world.

This is the news from Entertainment Retailers Association (ERA), which suggested digital music had been beaten in sales by that stubborn old minx, vinyl, for the first time since its inception. A rare positive tale of a physical format that’s been sentenced as obsolete, time and time again.

As someone who’s spent their life engrossed in the waxy stuff, it’s a narrative I’m more than happy to ride with. It implies a win for the core roots of the music industry. Unfortunately, it’s also a slightly deceptive statement.

The tables have indeed turned, but there’s more to this than meets the eye. The difference in retail price is the main factor – an average LP currently sells for around £20, whereas a digital album is about £8; over 50 per cent less.

But what else is going on? The reason for the dramatic decrease in sales of digital music is quite simply down to the explosion of streaming, as it rapidly becomes the platform of choice for consumers. People’s desire to pay money to essentially own a piece of code, without anything tangible attached, has clearly waned.

Aside from the increased availability of online radio options, such as new DIY-broadcast sites (Mixcloud et al), the array of streaming platforms has grown exponentially. There’s a wealth of choice, all easily accessible to anyone on the internet.

Vinyl comeback?

That’s not to say vinyl is dead: there is, of course, more to this shifting balance than the chosen preference of audio digestion.

Vinyl sales have grown steadily for the past eight years. While the shutters were nailed down on independent and chain music retail outlets nationwide a decade ago, there has been a gradual reinvigoration in recent years.

Established outlets such as Rough Trade have reported repeated growth in their stores, especially their online offerings (although time will tell whether the effects of an ever-changing exchange rate due to Brexit has long-term impacts on global imports and exports).

A number of new independents have set up shop across the country. The indie label sector has had successes with initiatives such as a global bi-annual Independent Label Market, offering fans the opportunity to buy wares straight from the source.

New lease of life

As a result of that, physical releases once again cater across genres and tastes - beyond long-time collectors, disc jocks and cool kids. Soundtracks and obscurities have been given a new lease of life, due to pristine packaging and limited presses, brought about by labels such as Deathwaltz, Mondo and Finders Keepers.

For retailers who have never stopped selling vinyl, it’s a little laughable when people repeatedly talk of a vinyl comeback. It never really went away. But there’s no doubt there’s been a resurgence in production and accessibility to it, and subsequently a lot more sales.

John Peel once famously said “somebody was trying to tell me that CDs are better than vinyl because they don’t have any surface noise. I said, “listen, mate, life has surface noise”.

Peak 2016

And it’s not just vinyl: CDs, though undeniably on the downwards slope a little, have also surprisingly held their nerve, especially during seasonal periods – giving something people can unwrap is just way more appealing than receiving an email with a download code.

There’s also the “peak-2016” factor. The sad loss of legacy artists such as David Bowie and Prince led to a massive volume of purchases from people rebuilding their collections, and/or prompted to complete their catalogues. A morbid statement, but a true one.

Further growth in physical music remains to be seen. Digital formats collectively accounted for 54 per cent of all UK music consumption last year, and it's apparent that the streaming machine will continue to dominate.

But vinyl is going to keep on growing. While the future of the digital download is very much in question, there’s no doubt turntables still have legs. As long as production costs don’t spiral any more than they have been in recent times (hello, weak pound), this is entirely sustainable.

The vinyl industry, though way off its heyday in the eighties, is currently the healthiest it’s been since that time. Ironically, a BBC poll earlier in the year revealed half the vinyl purchased in recent years doesn’t even touch a turntable – it remains shrink-wrapped on a shelf.

But the desire to own physical product is undeniable – be it for nostalgia, cool points, or because it’s just nice to own something you can touch and feel.

]]>Fri, 09 Dec 2016 15:46:00 +0000Rob Bignellhttp://www.cityam.com/255366/no-vinyl-isnt-bigger-than-digital-downloads-but-couldhttp://www.cityam.com/255365/uk-sport-cuts-cycling-finding-plots-more-olympic-and
British Cycling has had its funding slashed by £4m in UK Sport's investment programme in Olympic and Paralympic sports for Tokyo 2020.

Five sports - badminton, weightlifting, wheelchair rugby, archery and fencing - have lost their funding over the next cycle as UK Sport divided £345m of National Lottery and government funding to sports it believes are best placed to win medals in Japan in four years.

"We would like to invest in every sport but the reality is that we have to prioritise within agreed resources to protect and enhance the medal potential within the system," said UK Sport chief executive Liz Nicholl.

"If we under-invest across the board then the British teams will ultimately under-perform at the Games and medal success will be put at risk."

The strategic medal focused approach adopted by UK Sport over the past 20 years has led to Great Britain's third and second best ever medal hauls at the London 2012 and Rio 2016 Olympic Games, becoming the first host nation in history to better its results at the next Games in the process.

"The four year journey to Tokyo 2020 starts now and the government and National Lottery is backing UK sport to help maintain our place as a sporting superpower," said sports minister Tracey Crouch.

"UK Sport's approach to elite sport has proven successful in Beijing, London and Rip and the ambition to win more medals in Tokyo is a bold one that, if achieved, would mean a sensational summer of sport in 2020."

]]>Fri, 09 Dec 2016 15:33:00 +0000Joe Hallhttp://www.cityam.com/255365/uk-sport-cuts-cycling-finding-plots-more-olympic-andhttp://www.cityam.com/255363/bananas-deal-fyffes-bought-eur751m-so-heres-few-things
Who would have thought bananas could be such a lucrative investment?

Shareholders in Irish banana giant Fyffes certainly found their investment into the firm rather a-peeling, netting a healthy 50 per cent plus return from today's share price uplift alone.

In celebration of this good news and for a bit of Friday fun, here are a few fun facts about the world's most popular fruit... that actually, er, isn't fruit but a "high herb".

1 – Growth: there won't be much on the emerald isle

The home of one of the world's best known banana brands isn't expecting any growth in the years to come according to research by Euromonitor. In fact aside from a small uptick next year, unlike a conforming EU banana, things have rather flattened out.

Size of market ('000 tonnes)

2015

2016

2017

2018

2019

2020

Ireland

18.90

18.90

18.90

19.00

19.00

18.90

2 – The Japanese much prefer nar-nas compared with the Irish

In 2016, the Japanese nation wolfed down 755,900 tonnes of bananas. That's 5.9kg per year per person! This compares with the 4.1kg eaten per person each year over the Irish Sea.

So far there are no problems with banana supply in Europe and North America as all imports arrive from Latin America and the Caribbean. Retail prices per kg virtually haven’t changed in the last five years.